On January 1, 2016, Dreamworld Co. began construction of a new warehouse. The building was finished and ready for use on September 30, 2017. Expenditures on the project were as follows:

January 1, 2016	$327,000
September 1, 2016	$489,000
December 31, 2016	$489,000
March 31, 2017	$489,000
September 30, 2017	$327,000

Dreamworld had $6,300,000 in 10% bonds outstanding through both years.

Dreamworld's average accumulated expenditures for 2016 was:

Multiple Choice

• $654,000.

• $571,750.

• $327,000.

• $490,000.